There is a growing need to teach kids effective ways to manage money at an early age. Learning how to save while young usually brings forth maturity in children earlier in life. So, do not hesitate to give your kids a major responsibility in their lives. After all, you will not always be around them once they become adults.
Give Your Toddlers a Piggy Bank
Three-year-olds do not need complicated explanations to understand the concept of saving money. Just give them a piggy bank, as suggested in Ravalli Republic. Once money fills up their piggy banks, they will realize the value of growing savings.
Prepare and Monitor a Savings Goal Chart
A savings goal chart posted on your children's bedroom is a vivid money management guide. Let your kids input their target monthly savings amount on the chart, as suggested by Money Crashers. Moving forward, let them start saving for these funds regularly. They can then monitor the value of their savings by the end of each month.
Give Kids Rewards Once They Successfully Save Money
Agree to a specific amount of money your kids need to save in a span of time. Once they achieve this goal within the set time frame, treat them to ice cream, a movie, or just buy them their favorite toy. Rewards motivate kids to feel proud for having accomplished major goals. However, you should remember to not let your kids abuse the reward system down the line.
Be a Role Model
As a parent, your child is watching your every move, as mentioned in Daveramsey.com. Once your children see you saving good money, they will pick up on your good habit. Then, you won't even have to tell them to learn to save money. They will learn to manage money instinctively just by observing you!
Allow Your Teenagers to Open and Manage Their Own Bank Accounts
As a pre-requisite to adulthood, teens need to have the responsibility to care for their welfare. Opening and managing their own bank accounts give teens autonomy on money matters. Moreover, teenagers begin to feel a sense of pride for being able to take control of their possessions or assets.
Money is an indispensable asset that people need to survive. Equip your kids with the right money management skills in every way possible. Play an important role in grooming them to become the best adults they can be in the future.
